Question

A customer statement serves as a control by:

a. notifying the customer that payment is due
b. triggering the receive payment process
c. confirming with the customer the amount still owed
d. updating the accounts receivable master file

Answer 1

A customer statement confirms the amount still owed by the customer, acting as a control and record of account status, and is analogous to how credit card transactions are short-term loans from the credit card company to the user.

Step-by-step explanation:

A customer statement serves as a control by confirming with the customer the amount still owed. This financial document outlines all the transactions that have occurred over a certain period of time, including any charges and payments, providing both the business and the customer with a clear record of the account status.

When a customer uses a credit card, the process involves an immediate transfer of funds from the credit card company's checking account to the seller, with the understanding that the user will repay this short-term loan to the credit card company at the end of the billing cycle.